ready to shift the debt by 26- Help please

Mcpherson12

Hi All

Im a long time lurker and at one point was very active on this forum things got a bit out of control and I'm back.

I'm ready to shift the debt with a another child on the way in a few months and soon to be on mat leave i want to sort this out sooner rather than later but would like some advice on the best way possible.

My debts are currently as follows;
First direct overdraft - £500 interest free
MBNA - £1510 - 0% until 1st January 2017
Tesco - £950 - 0% until July 2019
Lloyds - £1075 - 0% until 3rd May 2017
Halifax - £890 - 0% until 2nd September 2016
Barclaycard - £5529.35 -17.43%

What would you suggest is the best way to pay these off? I have £550 i can pay towards these debts each month i.e a large amount to one and minimum payments to the others or small payments to all

Thanks for your help

National_Debtline

Hi Mcpherson12


This isn't the sort of scenario I can offer detailed advice on, but conventional wisdom suggests that using one of the "snowballing" calculators (others will recommend examples, I'm sure) will tell you to focus on attacking the one interest-charging debt as hard as possible, with the possibility that balance transfer deals may subsequently become available to port that remaining Barclaycard balance on to a 0% card.


Good luck


Dennis
@natdebtline

Scottishmummy

Is the barclaycard one a credit card or a loan? If it is a credit card you definitely want to get paying that down but bear in mind when your other deals finish. If it is a loan can you make overpayments? The next order to pay them in would be the halifax, mbna, lloyds then tesco as that is the order your 0% deals finish.

Mcpherson12

Thanks @NationalDebtline
Thank you also @scottishmummy the barclaycard one is a credit card so will go with your advice and starting making large payments on this to get it down

Scottishmummy

Mcpherson12 wrote: »

Thanks @NationalDebtline
Thank you also @scottishmummy the barclaycard one is a credit card so will go with your advice and starting making large payments on this to get it down

You are not going to manage to clear it before your first 0% deal ends so you need to look at what the interest rate will be on it come September and decide about June/July if you need to start clearing it first. Same with the MBNA one once Halifax is clear.

Mcpherson12

Thanks @scottishmummy i plan on making april, may and june large payment to barclaycard then july, august and september to halifax to make sure this is paid off on time before 0% ends. At least the halifax will be cleared and the barclaycard will be down hopefully i can then get all my debt which are on 0% on one card with a longer BT time